LINK poised for drop against Bitcoin again as the technical setup got weaker with the rest of the market going through a rough path these few days. Ethereum also dropped by 3.1% in the past day as we are reading more in our latest Chainlink news.
Bitcoin rallied about 4% over the same time frame and LINK’s price action got even more interesting. The data indicated that the coin dropped around 10% in the past week alone as over the same time frame Bitcoin gained about 7%. Analysts think that with LINK poised for a drop against Bitcoin, there could be even more bearish signals forming as it trades below the two crucial moving averages which held the support during the rally in the summer period. The coin also formed a triangle pattern that seems poised to break to the downside.
Why $LINK / $BTC is going to get rekt soon. pic.twitter.com/j3slAG5Izg
— 𝕁𝕁𝕔𝕪𝕔𝕝𝕖𝕤 🔄 (@JJcycles) October 20, 2020
The trader shared a chart that shows an expecting move lower between 25-30% in the price of LINK against Bitcoin. All altcoins chainlink included, will fall further. Su Zhu, the CEO, and CIO of the crypto exchange trading fund Three Arrows Capital who said:
“$BTC going up swiftly is not only not bullish for alts but it’s bearish. reasons for this are myriad but boil down to the fact that money is a coordination game and Bitcoin is the Schelling point; this is independent of how you feel about it, community is literally irrelevant.”
He added that he thinks that capital from altcoins could stay with Bitcoin until the coin distributes the $40,000 to $70,000 region in the future. As recently reported in our chainlink coin news, At the recent lows, the coin traded around $8 which means that it dropped by 60%. LINK could be poised to revert the bullish stance as the coin forms a bottom formation as the analysts believe. Chainlink is poised to continue the ascent to the upside in the near future as the analysts say the coin will retake the crucial horizontal level. Another analyst expected LINK to move higher from the current levels as he shared a chart that indicates the coin is on track to move towards $12.50 end even further in the near future. He did note that he is not 100% certain that this will be the ultimate bottom for Chainlink which dropped from its all-time high in August.
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